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Wednesday, November 19, 2014

Plenitude Q1 earnings at RM21.74m

KUALA LUMPUR: Property-based Plenitude Bhd posted earnings of RM21.74mil in the first quarter ended Sept 30, 2014, down 16.7% from RM26.11mil a year ago and expects slower growth for the property market in the current financial year.

It said on Tuesday its revenue fell to RM62.34mil, a decline of 13.9% from RM72.47mil a year ago. Earnings per share were 8.1 sen compared with 9.7 sen.

“The group’s current revenue and profit were principally derived from its property development activities carried out at Taman Desa Tebrau in Johor, Taman Putra Prima in Selangor, Bayu Ferringhi in Penang and Bandar Perdana & Lot 88 in Kedah,” it explained.

Plenitude said its revenue and profit in the just ended quarter was mainly due to the completion of Phase 9F Cluster Home and Phase 12B Bungalow at Taman Desa Tebrau in Johor, and Phase 6C Double Storey Terrace House at Bandar Perdana in Kedah.

It also said the newly launched projects in the current quarter were in the early stage of construction.

“The group’s financial position remains healthy with zero gearing. Cash and cash equivalents amount to RM421.7mil as at Sept 30, 2014,” it said.

However, its first quarter results were better than the preceding period, with pre-tax profit at RM30.09mil compared with RM18.60mil.

Plenitude said the increase in profit in the current quarter was mainly due to impairment of goodwill of RM5.6mil and higher other expenses incurred in the preceding quarter.

Despite the cautious sentiment, the company said properties in good locations were expected to continue to draw property buyers.